Do subdomains rank as well?

Hello All,
I have a project im looking at doing and have bought 20 domains that I intend to use for sub domains. I know I can rank these sub domains but I dont know exactly how well sub domains are meant to rank.

With medium competition how likely is a sub domain going to be able to content against a TLD if the sub domain has excellent onpage seo and high quality backlinks?.

Ok, a while ago I read the full SEOMoz SEO guide (like 20 pages long) which included a case study of subdomains. The results were that a page of a site ranked better than a subdomain (niche.com/salespage > salespage.niche.com).

recently done this after working 8 months on one domain - made a blogging page put blogs.(domain).com my alexa ranking seems to go worse every day since I added the sub domain yet I'm getting the same amount of traffic on my main domain & yes as someone stated you are starting from ZERO age google starts your sub domain as a fresh one it's been over 1 month produced around 50+ unqiue article yet my articles are not yet properly indexed however again my main website hits google within 3minutes

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